The World Bank considers launching a program to deploy concentrating solar heat in industry

27th September 2018

The World Bank is considering launching a program to support the use of Concentrated Solar Heat (CSH) technology to provide heat and steam to Jordanian industries, according to Jonathan Sinton, energy expert at the World Bank.

During the first workshop on concentrating solar heat in Amman (18-19 September, 2018), Sinton told Al Ghad [a Jordanian publication] that “the Bank is gauging the level of interest in CSH by Jordanian companies, as well as the government’s willingness to support the adoption of this technology”.

The workshop was organized by the World Bank in cooperation with the Ministry of Environment and the Amman Chamber of Industry.

The technical principle behind this technology is simple, mirrors reflect solar radiation on tubes filled with water to generate steam that is used in industrial processes. CSH technology has been around for several years and costs are declining, explained Sinton. The objective of the workshop is to encourage manufacturing industries to consider adopting CSH as a means to mitigate the impact of high costs of energy, most of which is imported, and lower production costs.

The workshop also aims to foster the exchange of technical expertise between CSH technology companies and concerned parties from Jordan and several Arab countries.

Several CSH projects are already operating in many countries, including Jordan, where there are two projects that rely on solar energy to generate steam. Based on meetings carried out during the event and visits to two factories which are already employing CSH, Sinton considers that the World Bank sees a sizeable opportunity in the deployment of CSH.

Financing is one of the main challenges facing CSH projects because commercial banks remain largely unaware of this technology. The World Bank is considering the best model to provide support to the industrial sector in the use of concentrating solar energy to heat water and generate steam. “In order for the World Bank to take steps in this area, a request must be submitted by the Jordanian government on behalf of the private sector”, stated Sinton. There are various support mechanisms that the World Bank could deploy in support of CSH, including financing and technical assistance. Determining the exact shape that support could take requires discussion with the Jordanian government in the framework of existing commitments to tackle climate change and environmental degradation.

Any support must ensure continuity and be economically viable, stressed Jonathan Sinton, adding that the World Bank is interested in maintaining the continuity of the business sector in Jordan by reducing its costs. Sinton pointed out that there is already joint work between the Bank and the Ministry of Energy, especially in power generation and energy infrastructure, including upgrading the grid so it can accommodate a higher share of variable renewable energy produced by wind and solar photovoltaic technology. The expert urged the government to establish funds to support the use of CSH in industry.

According to Eng. Fadl Al-Labadi, Director of Industrial Development at the Amman Chamber of Industry, his organization sees the workshop as an opportunity to encourage industrial players to consider how solar energy could help them become more competitive by countering the impact of high energy costs in Jordan.

Eng. Al-Labadi explained that the Chamber has previously organized meetings between the World Bank and government agencies to discuss cooperation mechanisms to support national industries in the adoption of CSH technologies by providing both financial and technical assistance.

[This article has been translated and adapted from the Arabic language original published in Al Ghad on Thursday the 20th of September. Link to original article: http://www.alghad.com/articles/2455092]

The Middle East and North Africa Concentrating Solar Power Knowledge and Innovation Program aims to accelerate CSP investments in the region by addressing knowledge and awareness gaps, linking projects with sources of finance and technical advice, and promoting innovation. This three-year program was launched in late 2016 by the World Bank with support from the Climate Investment Funds (CIF).

The Center for Mediterranean Integration (CMI) is a multi-partner platform where development agencies, Governments, local authorities and civil society from around the Mediterranean convene in order to exchange knowledge, discuss public policies, and identify the solutions needed to address key challenges facing the Mediterranean region.

About CIF

Since 2008, the Climate Investment Funds (CIF) has built a portfolio of over 300 investments in 72 developing and middle-income countries to scale up renewable energy and clean technologies, mainstream climate resilience in development plans and action, and support the sustainable management of forests. Although most programs and projects are still in the early stages of implementation, our funding has already contributed to over 3 gigawatts of new renewable energy capacity and close to 3 million people are already benefiting from CIF-supported climate resilience measures. Our experience shows that with strong leadership, the right technical and financial support, and inclusive partnerships, difficult investment decisions can be made with tangible results.